Cobalt Malibu Boat operation

[AsLan7]

The acquisition of Cobalt by Malibu Boats is an interesting one.

Although it was discussed in another thread, I thought it may deserve its own title.

There are some (if not many) in the industry that still do not know this has occurred. I certainly have an affinity for Malibu ski boats and this marriage may be just what Cobalt needs to stay competitive in an ever changing market. We are sad to see the family company absorbed though-- (if not just in name only) as Paxson St. Clair continues as Cobalt president and joins the Malibu board.

Any further thoughts by folks here?
New name??? (CoBu...MalCo...Malcobal...CoMal?)
Personally, I hope they keep the names separate as they each have a strong brand identification as well as unique legacy.

Again, more info if interested:

https://www.tradeonlytoday.com/industry ... balt-boats

Malibu Press Release on Cobalt Boats acquisition

[Skiingstrongman]

I spoke to my dealer Sunday and they said so far they have been told there are no changes coming. They said for the most part Malibu was eyeing a few of the cobalt patents so you will likely see some Cobalt features on the Malibu. He said the one thing that Malibu may improve upon is the surf gate of the WSS surf series. He said the huge surf tabs arent as good as the system that Malibu has so that may be an upgrade. But so far they are just looking to increase the opportunities for the dealers and not step on toes yet.

[Table Rockin]

Wow....I didn't know this. I hate to say this but from my experience more often than not when a family sells a business either the attention to product quality and/or service/customer relations takes a hit. I dont practice in the public company arena but most of my clients who have sold their businesses to private equity or other investment groups have suffered from this. Its a little different with PE as they never have any intention of being in long-term. They simply want to maximize value and then sell within time frame. Obviously as a public entity Malibu will look to maximize shareholder value as well.....what that means though for build quality I couldn't say. Its good that Paxon will remain as President but how long before he is gone? He's no spring chicken. I wonder if they had succession issues and the family is just looking to cash out?

[Table Rockin]

Wait it looks like Paxson is in his early 50s....so thats good.

BTW when my firm acquired another firm a few years ago, our party line was "no changes are coming". Changes came. Its inevitable and impossible to avoid.

I hope they continue to focus on what makes Cobalt a Cobalt....

[Alaskabound]

I'd be very surprised if both names didn't stay the same. It seems both brands would have instant larger distribution dealers which may help us all. One thing I hope Cobalt can keep is the ability to offer both Mercruiser and Volvo. I think both are great but it's nice to have a choice. In my case, I just hope to have a local Cobalt dealer period as my current dealer owners are retiring so no guarantees. Time will tell.

Dub

[AsLan7]

"One thing I hope Cobalt can keep is the ability to offer both Mercruiser and Volvo. "

Absolutely...I'm all about competition. It's already an oligopoly. Hate to see it become a monopoly with one engine maker.

[liquid]

Things will definitely change. To think they won't is naive. However, (i'll say it again) I think Malibu are some the nicest boats on the water. It's great recognizing great and I hope they keep the plant in Neodesha and Pax makes sure the culture stays as close to how it was created as possible.

If you haven't heard any of his stories from the early days they're great.

[liquid]

Can't find the story i'm looking for from Pack, not Paxson. Pax is Pack's son.

Basically them going to trade shows in the beginning, If I find it I'll post.

[AsLan7]

Can't find the story i'm looking for from Pack, not Paxson. Pax is Pack's son.

Basically them going to trade shows in the beginning, If I find it I'll post.

Please do Liquid.

In the meantime, in honor of Cobalt boat's amazing legacy, I thought it was at least appropriate to post the YouTube video of who they are for anyone who stumbles upon this site.


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[liquid]

Can't find the story i'm looking for from Pack, not Paxson. Pax is Pack's son.

Basically them going to trade shows in the beginning, If I find it I'll post.

Please do Liquid.

In the meantime, in honor of Cobalt boat's amazing legacy, I thought it was at least appropriate to post the YouTube video of who they are for anyone who stumbles upon this site.

Forgot all about this. Here's the article I was talking about. Great read. The Headliner bit cracks me up:

http://bensherwood.net/wp-content/uploa ... 5.2015.pdf

[Ytmsn]

I was told from the guy I bought my 262 from that Donzi took a sledgehammer to one of those boats that was copied by Cobalt back in the early days at one of the shows. Does anyone know if there's any truth to that? A quick Google search didn't turn up anything

[Tuscany]

I know sales at Cobalt are roaring today, but that company really makes me wonder what and who they are, or more importantly, what they want to be, and where they are going to attract the next generation of boat buyers.
Times are changing fast my friends, and the next generation may be attracted differently.

They seem to be trying to be everything, and IMO, that leads to major trouble down the road.
They are/were an old generation boat company (which they finally cut).
They are a surf boat company made by retrofitting the R series.
They are now in the large day boat company
They are in the higher end bow rider lake boat business with the R series.
They are in the entry level boat business.
They still make wide bow deck boats. I think that ship had definitely sailed, no pun intended.

There are so many quality niche builders they are competing with, that will be doing their niches even better down the road.
I think they really need to refocus, and fast.
I personally think former leadership was all over the place, trying to compete in multiple arenas. I’m no genius, but that always seems to end poorly.
Hopefully, Malibu will bring focus, and I would hope that their association with Malibu relieves the need to be everything.

Just a thought. Spitballing here. I think I would take a serious look at the A36/40. I’m just not sure who would buy one. Redesign the interior to attract the overnighter.
Evolve the R series into more power options, and build a nasty performance bow rider R5/7/30/35 with a optional outboard set where power to weight ratio attracts the performance buffs. Give me an R7 with 700 horses, and I’m trading if my wife doesn’t kill me for doing it. Don’t like outboards? Look how Formula mounts them by using a rack system.
Expand the bread and butter Gateway series. That’s the bill payer, and they are doing that one perfectly.

Liquid, do you know how much debt each company holds?

[2018R7Surf]

Can't find the story i'm looking for from Pack, not Paxson. Pax is Pack's son.

Basically them going to trade shows in the beginning, If I find it I'll post.

Please do Liquid.

In the meantime, in honor of Cobalt boat's amazing legacy, I thought it was at least appropriate to post the YouTube video of who they are for anyone who stumbles upon this site.

I hadn't seen that - thanks for posting.

[Table Rockin]

Tusc...i dont think what they are offering in style and size is much different than formula, regal, etc. All those brands have boats of all sizes.

[Tuscany]

Agreed.
Point is that with Malibu as a partner, they don’t have to be everything, and concentrate on “what’s next”.